Mayor reverses course, plans to vote on motorcycle rally

In light of a ruling from the Fair Political Practices Commission, Mayor Ignacio Velazquez has reversed course and plans to take part in the decision on a prospective motorcycle rally.

The newly elected Velazquez in mid-December announced he would not get involved in discussions or a decision on a motorcycle rally. That followed his victory in the city’s first mayoral race in November, and a campaign in which he widely touted his support for a revived rally.

In December, he said he spoke to an FPPC representative and concluded that he had a conflict of interest due to the rally’s positive financial impact on Velazquez’s downtown restaurant property, The Vault.

The mayor requested a ruling in writing from the FPPC and received it this week. The letter lays out three scenarios that set forth “materiality standards for economic interests” – including whether the event would result in an increase of decrease of $20,000 in gross revenue for The Vault – and ruled that it is unlikely a rally would cause a conflict.

“Based on the information you provided, it would appear unlikely that the occurrence or nonoccurrence of the rally would impact your restaurant’s assets or liabilities.”

Hollister council members canceled the sanctioned motorcycle rally following the 2008 event after the city lost more than $200,000, largely due to relatively enormous security costs and a botched T-shirt venture. Velazquez, though, now joins Councilmen Robert Scattini and Ray Friend as being openly supportive of a rally revival.

That majority support could mean an official approval as early as Monday night for a sanctioned rally in July 2013. Council members are set to weigh an agreement with a private contractor at their 6:30 p.m. Monday meeting at Hollister City Hall, 375 Fifth St.

Regarding the FPPC letter, Velazquez acknowledged Friday there is a likelihood the motorcycle rally would generate more than $20,000 in revenue for The Vault as a restaurant or night club.

Velazquez in preparation for prior motorcycle rallies – and when The Vault was open as a year-round, full-time restaurant – has said the event generated about three months of regular business.

With that in mind, he said he plans to lease out the space during the rally to a vendor that would not generate enough revenue to pass the FPPC threshold – so that he would not violate the rules. 

“The plan is to bring that rally back,” he said. “Whatever that means, that’s what I’m going to do to make that happen.”